trading a big account vs. small

Quote from dipper17:

gg,

Think in terms of economies of scale. It’s more difficult to provide return on larger sums.

Cold is just a bitter attention seeker don’t let the little people of the world, like that get to you.

To help you visualize it expand your question a bit. How hard would it be to provide return on 1 million vs. say 100 million? With one million you're still a pipsqueak in the market but with 100 million you're starting to talk about some money now. You're not going to trade one single product and you’re going to have to learn how to work into and out of positions.


Looking at the depth of the market the difference in say 30k and 300k is nothing, unless you trade some very very illiquid garbage stocks.
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hey idiot you are late

I already explained things to slow OP
 
Quote from ggoyal:

Do you think it is easier to trade a small account like maybe 25-30 or trade a 400k-500k?
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Cold won't be around long as this current alias. He is frustrated at not making a million in a month. He'll give up and stop posting, or get banned and have to reincarnate.

A large account depends mainly on your broker. If you took 20k to 200k, then you have a method that works. Find a broker that will provide the liquidity that you will need. If that fails for some unknown reason, switch to a market that will accomodate your method without a significant amount of slippage.

You may also consider cost averaging your trades.

Best Regards
Oddi
 
Hello Guys,
I'm far far ways from the Big money, but I think that just conceptualy it would make the following diffrences:

1. Small money - easy to trade, but the cost of trading may matter (commitions, spread, datafeed cost etc.). I think that in todays markets this disadvantage is not so valid. No other obstacles.
2. Big money - more difficult to trade, because when you get in and out you may move the markers, i.e. you need get in and out strategy in addition. So it's a bit more complex. From another aspect the ecomony of scale exists.

Avearll I think that trading the Big money is a bit more difficult.

Regards,:p
 
Quote from shortorlong:

I agree with what you are saying. Just so that noone else is confused though, when you say 'think of economies of scale', that is suggesting that bigger account / more money is *easier* to trade. Economies of scale suggests power/advantage through greater size. The spirit of your post is the opposite of economies of scale - diseconomies of scale - greater size is a disadvantage.

You and I are in agreement though..
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Thanks for correcting me ..... glad you got what i was saying
 
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